Fluctuations in commodity prices are normal.
The supply quantity and the market price fluctuate. The term "pig cycle" was coined by Arthur Hanau in 1927 in a paper on pig prices. However, the so-called pig cycle can also be applied to commodity prices. If market prices are high, people invest heavily. However, there is a delay effect. Production capacities must first be built up and there are delivery times, perhaps even delivery bottlenecks. If supply is then high, there is an oversupply and consequently a drop in prices. Production reductions, also with a time lag, again create a supply gap and thus rising prices. Ultimately, the hog cycle theory describes the combination of delayed supply adjustment and price changes. After Corona restrictions are removed, the economy should pick up again. China's hunger for commodities in particular should then drive up prices. This is the moment when investors and speculators jump on the bandwagon. Of course, it is better to be on the train already.
Listed metals have currently weakened. However, the majority of inventories are only slightly filled and when market participants wake up and recognize the supply deficit, it would be advantageous to already be invested. For example, in lithium or uranium. It should be clear that the demand for lithium will increase enormously in view of the rising number of electric vehicles and the need for energy storage.
Here, ION Energy - https://www.youtube.com/watch?v=BHvuKK-v-r8 - would come into consideration. In Mongolia, a mining-friendly country, ION Energy owns the Baavhai Uul (more than 80,000 hectares) and Urgakh Naran (nearly 20,000 hectares) projects.
Uranium is also one of the raw materials that could become scarce in these times when nuclear energy is experiencing a renaissance. There have already been significant price increases here, even though the price of uranium has recently come back.
Uranium is the business of Consolidated Uranium - https://www.youtube.com/watch?v=8eKvEdnKTLU -, for example. With uranium projects in Australia, Canada, Argentina and the USA, the company is ideally positioned to profit from uranium demand.
Latest corporate information and press releases from Consolidated Uranium (- https://www.resource-capital.ch/en/companies/consolidated-uranium-inc/ -).
In accordance with §34 WpHG I would like to point out that partners, authors and employees may hold shares in the respective companies addressed and thus a possible conflict of interest exists. No guarantee for the translation into English. Only the German version of this news is valid.
Disclaimer: The information provided does not represent any form of recommendation or advice. Express reference is made to the risks in securities trading. No liability can be accepted for any damage arising from the use of this blog. I would like to point out that shares and especially warrant investments are always associated with risk. The total loss of the invested capital cannot be excluded. All information and sources are carefully researched. However, no guarantee is given for the correctness of all contents. Despite the greatest care, I expressly reserve the right to make errors, especially with regard to figures and prices. The information contained herein is taken from sources believed to be reliable, but in no way claims to be accurate or complete. Due to court decisions, the contents of linked external sites are also co-responsible (e.g. Landgericht Hamburg, in the decision of 12.05.1998 - 312 O 85/98), as long as there is no explicit dissociation from them. Despite careful control of the content, I do not assume liability for the content of linked external pages. The respective operators are exclusively responsible for their content. The disclaimer of Swiss Resource Capital AG also applies: https://www.resource-capital.ch/en/disclaimer/
The supply quantity and the market price fluctuate. The term "pig cycle" was coined by Arthur Hanau in 1927 in a paper on pig prices. However, the so-called pig cycle can also be applied to commodity prices. If market prices are high, people invest heavily. However, there is a delay effect. Production capacities must first be built up and there are delivery times, perhaps even delivery bottlenecks. If supply is then high, there is an oversupply and consequently a drop in prices. Production reductions, also with a time lag, again create a supply gap and thus rising prices. Ultimately, the hog cycle theory describes the combination of delayed supply adjustment and price changes. After Corona restrictions are removed, the economy should pick up again. China's hunger for commodities in particular should then drive up prices. This is the moment when investors and speculators jump on the bandwagon. Of course, it is better to be on the train already.
Listed metals have currently weakened. However, the majority of inventories are only slightly filled and when market participants wake up and recognize the supply deficit, it would be advantageous to already be invested. For example, in lithium or uranium. It should be clear that the demand for lithium will increase enormously in view of the rising number of electric vehicles and the need for energy storage.
Here, ION Energy - https://www.youtube.com/watch?v=BHvuKK-v-r8 - would come into consideration. In Mongolia, a mining-friendly country, ION Energy owns the Baavhai Uul (more than 80,000 hectares) and Urgakh Naran (nearly 20,000 hectares) projects.
Uranium is also one of the raw materials that could become scarce in these times when nuclear energy is experiencing a renaissance. There have already been significant price increases here, even though the price of uranium has recently come back.
Uranium is the business of Consolidated Uranium - https://www.youtube.com/watch?v=8eKvEdnKTLU -, for example. With uranium projects in Australia, Canada, Argentina and the USA, the company is ideally positioned to profit from uranium demand.
Latest corporate information and press releases from Consolidated Uranium (- https://www.resource-capital.ch/en/companies/consolidated-uranium-inc/ -).
In accordance with §34 WpHG I would like to point out that partners, authors and employees may hold shares in the respective companies addressed and thus a possible conflict of interest exists. No guarantee for the translation into English. Only the German version of this news is valid.
Disclaimer: The information provided does not represent any form of recommendation or advice. Express reference is made to the risks in securities trading. No liability can be accepted for any damage arising from the use of this blog. I would like to point out that shares and especially warrant investments are always associated with risk. The total loss of the invested capital cannot be excluded. All information and sources are carefully researched. However, no guarantee is given for the correctness of all contents. Despite the greatest care, I expressly reserve the right to make errors, especially with regard to figures and prices. The information contained herein is taken from sources believed to be reliable, but in no way claims to be accurate or complete. Due to court decisions, the contents of linked external sites are also co-responsible (e.g. Landgericht Hamburg, in the decision of 12.05.1998 - 312 O 85/98), as long as there is no explicit dissociation from them. Despite careful control of the content, I do not assume liability for the content of linked external pages. The respective operators are exclusively responsible for their content. The disclaimer of Swiss Resource Capital AG also applies: https://www.resource-capital.ch/en/disclaimer/
